Share via

The United States is calling for penalties of up to $10 billion a year to be
imposed on the European Union for failing to end its subsidies to Airbus.

The demand is the latest salvo in a long-running transatlantic battle over
incentives paid to Airbus and Boeing by their respective governments. The
World Trade Organisation (WTO) has ruled that both Europe and the US must
halt the subsidy regimes.

Airbus, which receives financial help from European governments, including
Britain, to launch new aircraft, issued a statement last week saying that it
was in compliance with the WTO rulings.